When looking for at different car loans Amarillo TX residents can use a car loan calculator to give a better estimate of the monthly car payment. While you won’t be able to calculate the monthly car payment down to the penny, having an estimate can help you when you compare auto loan offers.

A car loan calculator will start with your credit score and then you will enter in the car price, trade in/down payment, interest rate, and number of months for the loan. Once you calculate, you will want to look at the monthly payment results and also the reality of how much interest you will be spending. When you change the down payment or trade in payment, along with the interest rate or loan term, you can see how it will impact your payment so you can make the best decision when you compare offers.

Estimating the Sale Price: If you are buying a new car, you can use the vehicle’s sticker price or the MSRP as a starting point. In most cases, you will likely negotiate a discount from the sticker price. There may also be manufacturer rebates that can help lower the price. Also remember to include the cost of any options and the destination fee that is charged for new cars, in order to accurately estimate the price. If you are going to be buying a used car, then estimating the sale price can be harder. Start with the seller’s asking price but keep in mind it’s possible to negotiate it for lower. If you want an idea of a fair price, then research using online pricing guides or local classified ads for comparable vehicles.

Estimating Trade-in Value: You can use online sites to get an appraisal. If you are using a pricing guide, be sure to check the trade-in value and not the retail costs.

Estimating Interest Rates: If you have already been preapproved, then it’s easy to know the rate you have already received from the lender. You an also check which rates are offered online by lenders. If you know your credit score you can also estimate rates you will be given based on average rates.

Estimating Fees and Sales Tax: When considering the out of the door price of the car, you don’t want to forget about fees and taxes. You will have to pay state and other local taxes, a documentation fee, and registration costs. You can search online for estimates or speak with a dealership to get an estimate of these costs in the area.

Loan Terms: When it comes to car loans Amarillo TX residents can choose between two to six years, but it’s important to remember the longer the term, the more you will pay in interest.